Sunday, May 22, 2022
Home Crypto News Market Financial Experts Fear "Disaster in Financial Markets" Could Slump Bitcoin Price Further

Financial Experts Fear “Disaster in Financial Markets” Could Slump Bitcoin Price Further

- Advertisement -


Bitcoin slumps below $40,000 again.

The cryptocurrency market was dealt a major blow in the early hours of today after prices of all digital currencies slumped.  Aside from USDC and USDT, all crypto assets in the top 10 cryptocurrency rankings shredded a huge percentage of their prices. 

Prices of Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Terra (LUNA), Binance Coin (BNB), Cardano (ADA), and Solana (SOL) fell sharply. 

Crypto Market Down 3.8% In 24 Hours 

The world’s largest cryptocurrency by market capitalization Bitcoin slumped below $40,000 in the early hours of today. BTC saw its price dip from around $40,400 to a low of $38,770, while the second-largest cryptocurrency Ethereum fell below $3,000 to a low of $2,898 in the last 24 hours. 

This week’s upcoming events could largely affect the prices of Bitcoin and other cryptocurrencies, and as such investors are trying to stay safe, which has resulted in massive sell-offs.

Aside from retail investors, investment firms are also exercising caution as they expect massive price swings in cryptocurrencies and other financial instruments like stocks.

Eric Anderson, Chief Strategic Officer at Standard Chartered, expressed concern about the expected volatility over the summer after firms published their first-quarter earnings and Feds’ inflation measures.

Although both cryptocurrencies have gained stability in the last few hours, the slight boost is not enough to recover the losses suffered. Analysts warn a “disaster in the financial markets” could push bitcoin under $30,000.

In the last 24 hours, Bitcoin and Ethereum are down 2.7% and 4.1%, respectively. Similarly, BNB, XRP, SOL, and ADA, have also slumped 2.3%, 4.0%, 4.5%, and 5.9%, respectively. 

At the time of writing this line, the global cryptocurrency market is down 3.8% and it is currently worth below $2 trillion. 

This year has ushered in a lot of drama in the crypto space, with the bulls and bears battling out who would take control of the market. 

Will BTC Slump Below $30,000? 

According to Forbes, the massive dip in the cryptocurrency market comes as investors prepare for the publication of several investment firms’ earning reports. 

On the other hand, investors are also eager to get opinions from the Federal Reserve about its move to curtail rising inflation. 

With investors eager to know the outcomes of numerous events, several crypto analysts have shared their concerns. Eric Andersen, Chief Strategic at Standard Chartered told Forbes that his firm is worried about “a summer of turbulence and volatility.”  

While many traders believe the financial crisis could worsen to the point that the apex cryptocurrency by market cap would plunge further below $30,000, Alex Kuptsikevich, FxPro senior market analyst said that would only happen when there is a major financial crisis, adding:  

“If the bulls capitulate, the first cryptocurrency could be pushed into the $32,000 to $35,000 range without much resistance.” 

We are increasingly concerned about a summer of turbulence and volatility, A consolidation scenario below $30,000 would require an absolute disaster in the financial markets,” added Kuptsikevich

The hallmark of Bitcoin’s dip this year was when the asset class saw its price crash to around $32,000 on January 24, 2022. 

Meanwhile, Mike Novogratz, founder of Galaxy Digital, is confident that BTC would trade above $30,000 by year-end, as he made a $1 million bet with Bitcoin critic Peter Schiff. 

- Advertisement -


The content is for informational purposes only and may include the author’s personal opinion, and does not necessarily reflect the opinion of TheCryptoBasic. All Financial investments, including crypto, carry significant risk, so always do your complete research before investing. Never invest money you cannot afford to lose; the author or the publication does not hold any responsibility for your financial loss or gains.

Albert Brown
Albert Brown is a cryptocurrency investor and journalist who has been in the nascent space since 2017. His love and passion for technological innovations made him delve deeper into the world of blockchain and cryptocurrencies. As a journalist, Brown has written on several crypto-related topics that have been referenced by popular industry players like Tyler Winklevoss, Binance CZ, etc.



Please enter your comment!
Please enter your name here

- Advertisment -

Recent News & Articles

Can Pac-Man Frog (PAC) Outperform ApeCoin (APE) And Theta Network (THETA)?

Cryptocurrencies are all anyone has been able to talk about for the past couple of years. They are an innovative way of thinking about...

Secure DeFi Protocols: Calyx Token (CLX), Chainlink (LINK), and Aave (AAVE)

An ongoing prevalence of hacks, attacks, and exploits within the cryptocurrency space highlights the importance of verifying the security and integrity of a protocol...

Beware of Malicious Proposals, Terra (LUNA) Team Says No Dapps Launched on Terra 2.0 

Terra Team Warns Community to Beware of Malicious Proposals, Says No Decentralized Application Has Launched on Terra 2.0. ...

CZ On Terra (LUNA): “Most Stupid Design Flaw Is Thinking Minting More Of An Asset Will Increase Total Value”

  Binance CEO: Terra Had The Chance To Save Luna And UST When The De-peg Was At 5% But They Failed To Act.

Ethereum Co-Founder Vitalik Buterin Says He Is No Longer A Billionaire

The Ethereum exec was also affected by last week’s cryptocurrency dip that wreaked havoc on investors.  window.coinzilla_display...

Market Pundit: UST And Terra (Luna) Collapse Is NOT An Indication That Crypto Market Is Ending

  Crypto Market Is Not Ending Because Of Terra. window.coinzilla_display = window.coinzilla_display || ; var...

Another Top American Exchange Halting Terra USD (UST) Trading After Coinbase

Gemini follows Coinbase to halt UST trading. window.coinzilla_display = window.coinzilla_display || ; var c_display_preferences...

Subscribe To Our Newsletter

Get Updated with All The latest Crypto News, Articles, Reviews, Analysis and much more. Delivered Every Monday.